Boparan’s restaurants business sees FY turnover top £144m, performance hindered by cost-of-living crisis: The parent company of Boparan Restaurant Group, the owner of the Gourmet Burger Kitchen, Carluccio’s and Giraffe brands, saw turnover in the year to 1 January 2023 across its restaurant business pass £144m, but said that its performance had been “hindered by the current cost-of-living crisis”. Boparan said turnover for its restaurant business in the period was £144.5m (2022: £110.3m), with the increase a result of improved trading conditions following covid-19. The group said it continues to invest in new restaurant openings, particularly under the Slim Chickens brand, of which it is the master franchisee in the UK, and improvements to its existing estate. The group’s subsidiary Gourmet Burger Kitchen (UK), which operates the eponymous burger brand, Slim Chickens and the Fishworks concept, posted turnover in the year of £49,521,000 (2022: £41,039,000), with a pre-tax loss of £3,249,000 (2022: £6,741,000). The company said the increase in turnover was a result of improved trading conditions and the opening of six Slim Chickens restaurants. In November 2022, the company purchased the trade and asset of the Slim Chickens Trafford restaurant from Carluccio’s (UK) for £32,980. Subsequently, on 5 December 2022, the company purchased the trade and assets of the Fishworks restaurants from Fishworks Restaurants for £1. Its Carluccio’s business generated turnover of £33,832,000 in the period (2022: £28,105,000), with a pre-tax loss of £3,831,000 (2022: loss of £640,000). Giraffe Concepts reported full-year turnover of £41,368,000 (2022: £31,094,000) and a pre-tax profit of £2,256,000 (2022: (£1,711,000). The company said: “The directors believe these brands, especially Slim Chickens, offer significant growth potential for the future. Management are well progressed in delivering the synergy benefits from the branded restaurants under the stewardship of one executive management team and using the skill and scale of the wider group buying structure to leverage cost benefits. This has helped mitigate the impact of inflationary cost pressure in 2022 and 2023 and opportunities exist looking further ahead.” Last week, Propel reported the Boparan-owned Cinnamon Collection, which operates four restaurants in London, swung back into profit in the year to 1 January 2023 as it continued to bounce back from the pandemic. The company generated revenue of £11,539,000 (2022: £6,728,000). In the period to 1 January 2023, the company made an operating profit of £90,000 (2022: operating loss of £563,000), with a pre-tax profit of £38,000 (2022: loss of £615,000).

 

Propel’s Multi-Site Database improved for 2024 with unique segmentation: Propel’s leading database, the Multi-Site Database, which provides the details of more than 3,000 multi-site operators, has been redesigned so Premium subscribers will be able to search the data segmented into key industry sectors. This new straightforward segmentation will allow users to search quickly in key categories such as pubs and bars, cafe bakery, quick service restaurants, casual dining, fine dining, hotel and experiential leisure. Subscribers will be able to drill down into the details and updates for these specific areas – so, for example, the circa 640 multi-site operators in the pubs and bars sector and 150 operators in the experiential leisure area can be examined in a stand-alone format. This new functionality will be available later this month when the latest Multi-Site Database is released on Friday, 26 January at midday. An updated Multi-Site Database is published every month, with an average of 50 or so companies added each month. Phil Pemberton, Propel’s director of premium services, said: “The new ability to segment this vital information is unique to the industry and is an element that our Premium subscribers requested. It will provide even more clarity and search capability to each segment of the sector.” A Propel Premium subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. Email kai.kirkman@propelinfo.com today to sign up. The Premium subscription service currently has more than 4,000 subscribers.

 

Restaurant Marketer & Innovator European Summit 2024 open for bookings: Restaurant Marketer & Innovator European Summit is returning for its sixth edition, and tickets are now on sale. The event is a partnership between Propel and Think Hospitality, aiming to build a community, promote the sharing of ideas, recognise talent and define the future of eating out. Bookings are now open for the two-day conference, as the centrepiece of the January event series, taking place on 23 and 24 January at One Moorgate Place in London. The conference will focus on marcomms strategies, proposition and concept development, the latest market insights, technology and digital developments, diversification of revenue streams and how brands are adapting to the new normal. It is designed for marketing, development and innovation teams, as well as senior executives and investors wanting to better understand the latest marketing, innovation and development opportunities to build market share and grow. Day two speakers include: Jenny Packwood, chief corporate affairs and sustainability officer at KFC UK; Andre Johnstone, sales and marketing director at Urban Pubs & Bars; Hannah Clark, UK head of marketing at Sticks ‘n’ Sushi; Romy Miller, global brand director at KellyDeli; Sarah McDermott, marketing director at BrewDog Bars; Mark Stretton, co-founder and managing director at Fleet Street; Punch Pubs & Co chief executive Clive Chesser; Elior chief executive Catherine Roe; Emma Banks, vice-president of food and beverage strategy at Hilton UK & Ireland; Paul Flatters, chief executive of insight agency Trajectory; Victoria Page, purpose and ESG lead at Fleet Street; Jonathan Doughty, managing director at Viklari Consulting; Fiona Richmond, head of regional food at Scotland Food & Drink; Mikala Kofoed Rasmussen, senior manager at Wonderful Copenhagen; Marta Pogroszewska, managing director at Gail’s Bakery; Rory Sutherland, vice-chairman of Ogilvy; Eljesa Saciri, general manager at The Zetter Marylebone; Michael Ingemann, chairman of Think Hospitality; Hilari Voorthuis, global food and beverage manager at Fairmont Hotel & Resorts; Sven Sallaerts, co-founder of Younique Concepts; Marcus Denison-Smith, chief marketing officer at Honest Burgers; Tom Patrick, marketing director at Banana Tree; Libby Andrews, marketing director at Pho Restaurants; Ali Alt Recanati, co-founder and brand and marketing director at Farmer J; Dan Brookman, chief executive of Airship and Toggle; Ben Webb, managing director at 3Stories; Joel Robinson, digital and technology director at Azzurri Group; Maya Orr, managing director at Connect Management; Rameez Al Aghbar, brand partnerships – quick service restaurants lead at TikTok; Anthony Knight, sales and marketing director at Incipio Group; Lynsey Benton, brand and franchising manager at I am Doner; Myles Doran, former commercial director at Revolution Bars Group and managing director at Hospitality Inc; and Supersonic founder Mark McCulloch. For the full schedule, click here. A one-day ticket for operators is £295 plus VAT while a two-day ticket is £550 plus VAT. Supplier tickets are £395 plus VAT for one day and £700 plus VAT for two. Tickets can be purchased by contacting Jo Charity at Propel on jo.charity@propelinfo.com.

 

UKHospitality Scotland – restaurant closures show impact of no business support: A spate of restaurant closures in Scotland shows the impact of the government’s decision not to introduce a business rates relief scheme, UKHospitality Scotland has said. The latest closure saw Mexican restaurant brand Barburrito, owned by The Restaurant Group, shut its site in Glasgow’s Hope Street this week, while other closures include Taco Bell shutting its Haudagain Retail Park outlet in Aberdeen. UKHospitality Scotland executive director Leon Thompson said: “These recent closures demonstrate the enormous economic challenges facing hospitality businesses, which are always more acutely felt during the quiet early months of the year. Persistent rising costs over the past two years have already dented business confidence considerably and this has only been exacerbated by the Scottish government’s shocking decision not to introduce a business rates relief scheme. Closures this early in January are just the tip of the iceberg and I fear that we will see more to come, as venues struggle to make ends meet. It is a great shame that the Scottish government has not taken the decision to support the sector. Unfortunately, these closures are the end result.” Meanwhile, UKHospitality Cymru, which has long been campaigning for a scheme that will bring short-term lets up to the standard of the established accommodation sector, has welcomed the Welsh government’s announcement that it will introduce a registration scheme, followed by a licensing scheme. Executive director David Chapman said: “The Welsh government is absolutely right to create a level playing field and require all visitor accommodation to operate safely and to appropriate standards. The eventual move to a licensing scheme to ensure short-term lets are compliant with safety standards is something we support, provided there is no additional red tape or cost placed on well-established and already heavily regulated businesses such as hotels and holiday parks.”

 

Domino’s begins 170-store UK Uber Eats trial, to be followed in Ireland: Domino’s Pizza Group has begun a 170-store Uber Eats trial in the UK, which will be followed by a similar one in Ireland. The UK stores will all become available on the app by the end of January, followed by 14 stores in Ireland from February. It follows the announcement in July 2023 of a global agreement with Uber by US-based Domino’s Pizza. The trial will assess whether the partnership will drive incremental growth in customers and sales for Domino’s, in particular among customers who tend to only use food delivery apps to order takeaways. If it is successful, the wider Domino’s store network will go live later in the year. Andrew Rennie, chief executive of Domino’s Pizza Group, said: “Through this trial we’ll have access to new customers who typically only order takeaways on food delivery apps, driving further growth in sales.” Matthew Price, Uber Eats general manager, UK, Ireland & Northern Europe, added: “We are excited to be partnering with Domino’s for this trial to bring its delicious pizzas to Uber Eats customers across the UK.” 

 

US doughnut brand Randy’s plans UK launch: US doughnut brand Randy’s Donuts is planning to launch in the UK and is seeking a franchise partner to develop and operate sites throughout Britain. Founded in Los Angeles in 1952, the company has more than 35 shops operating in South Korea, the Philippines, Saudi Arabia and the US. “We are thrilled to announce that Randy’s Donuts is coming to the UK,” said chief executive Mark Kelegian. “We are confident that our unique brand and delicious doughnuts will be a hit with UK customers as it has been in Asia, the Middle East and the US.” The company is known for its wide variety of doughnuts, including its classic and chocolate glazed varieties. The brand also offers a variety of other pastries, coffee and drinks. Randy’s is looking for a UK-based franchise partner “with experience in the restaurant industry and a strong understanding of the UK market”. Kelegian added: “We are looking for a franchise partner with food and beverage experience who shares our passion for doughnuts and our commitment to providing our customers with the best possible experience. We are confident that with the right partner, we can make Randy’s Donuts a success in the UK.” The brand is also seeking franchise partners in other countries, including Australia, Canada, Hungary, Indonesia, Mexico and Spain. Randy’s will feature in the next Propel UK Food and Beverage Franchisor Database, an exhaustive guide to the companies offering a food and beverage franchise in the UK available exclusively to Premium subscribers. The database is updated every two months and the latest version features 225 businesses. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email kai.kirkman@propelinfo.com to upgrade your subscription.

 

Golf club concept Pitch secures Dublin site, plans at least five new openings: Golf club concept Pitch is to open its first international site, in Dublin, this spring, with plans to open at least five new sites across the UK and Ireland within the next three years, in addition to other international locations. Pitch, which is the brainchild of friends and golf professionals Elliot Godfrey and Chris Ingham, will open its first franchise site in partnership with entrepreneur Christopher Best in the second quarter after signing a long-term lease to take space in the Irish capital’s retail and leisure destination, Grafton Place. It has taken 9,000 square feet of space at the scheme. The venue will comprise ten bays, dedicated club fitting and coaching, a bespoke food offering and a large social area. Pitch was launched in London’s Bishopsgate more than four years ago, complete with state-of-the-art golf technology. The company opened its second site, in April 2022, in Soho’s Meard Street, with a third site in the capital expected to open later this year, in Canary Wharf, under the WeWork site at 30 Churchill Place. Players have the choice of playing more than 60 of the world’s most popular golf courses, including classic venues such as Wentworth and Royal Troon. Best said: “Despite a fierce and growing appetite for golf in Ireland, Dublin falls short when it comes to accommodating the interests of the modern-day golfer. The opening of Pitch Dublin will change this, offering a unique experience that combines leading technology, professional training standards and a contemporary socialising experience for all ages and levels, backed by some of the biggest names and brands in the sport. Grafton Place is Dublin’s marquee leisure and retail location and a perfect fit for our strategic vision.”

Thai Square owner returns to profit but sees Ebitda as a percentage of turnover fall to 3% due to rising costs: Catering UK, owner of the ten-outlet Thai Square restaurant chain, has reported a return to profit but saw Ebitda as a percentage of turnover fall to 3% as a result of rising costs. It comes as the business saw turnover increase to £12,009,464 for the year ending 30 June 2023 compared with £10,593,842 the year before. Revenue also remained below the £13,438,583 reported for the year ending 30 June 2019 – the last full year before the covid pandemic. Ebitda fell to £343,893 from £2,729,910. The business posted a pre-tax profit of £252,169 compared with a loss of £2,940,589 the previous year (2019: profit of £701,294). In his report accompanying the accounts, director Haim Danous stated: “Gross profit margins have remained steady at 81% (2022: 81%) indicating that food and drink costs have remained steady. However Ebitda as a percentage of turnover has fallen to 3% (2022: 32%), primarily being squeezed by rising staff costs due to the shortage of labour, non-domestic rates increases and utility increases and rent being charged post covid. Management has continued to review its cost base and the vigorous cost cutting programme that was continued during the 2022-23 financial year has continued into 2023-24 where possible.” The business did not receive any government grants (2022: £169,735). No dividend was paid (2022: nil).

 

Sager + Wilde founder to launch new wine shop/bar venture: Michael Sager, co-founder of London bar restaurant group Sager + Wilde, is set to launch a new shop/bar venture in the capital. Bar Bruno will launch later this month in an old stable block in Victoria Park Village, at 211a Victoria Park Road. The venue is named after Sager’s father, who helped invest in his initial business a decade ago, reports Hot Dinners. “Now it’s time to express my gratitude to him,” Sager said. “He loves London, and the interior feel to Bar Bruno is going to reflect his new hobby of restoring antiques.” The venue will function as a wine shop during the day and a bar at night, with everything on the shelves available to drink in, with a £15 mark up. On the food menu will be a series of small plates with a focus on filled pretzels, inspired by Swiss-born Sager’s homeland, where every train station has a pretzel kiosk. Sager + Wilde launched in Hackney a decade ago, followed by sites in Old Street and Bethnal Green, and in December 2022, branched out into coffee for its fourth site, Equal Parts, in Hackney.

 

Wagamama to open new Wolverhampton restaurant for 160th UK site: Wagamama, The Restaurant Group-owned brand, is set to open a new restaurant in Wolverhampton, bringing its UK estate to 160. Located at Bentley Bridge Leisure Park, the 154-cover restaurant will open on Monday, 5 February, creating 67 jobs. It will offer Wagamama favourites such as chicken katsu and ramen as well as the brand’s recently launched Korean-inspired menu, including its first hot pots. Other items include k-dogs, gochujang rice bowls and a host of fresh new sides, including rotis served with raisukatsu sauce for dipping. There will also be Wagamama’s new special edition plant-based dish for Veganuary, the lion’s mane “steak” bulgogi, available for a limited time only. Milly Pearson, regional marketing manager for the north, said: “We can’t wait to serve up our newest menu launch and fresh favourites, and our fantastic new team has been working hard to ensure we’ll bring our much-loved Wagamama experience to our guests.”

 

North east Greek street food business Acropolis opens at Gateshead’s Metrocentre for seventh site: North east Greek street food business Acropolis has opened its seventh site, at the Metrocentre in Gateshead. The venue on the upper Blue Mall serves Acropolis’ range of dishes such as chicken gyros and souvlaki, fried halloumi bites and loaded fries. Launched in 2016 by brothers Filip and Viktor Tachan, along with Yusuf Yenil, Acropolis is a regular at food festivals and events across the region, including Jesmond Food Market and Hebburn Market. Filip Tachan said: “Our authentic Greek flavours are proving to be a hit with shoppers and we are delighted with the feedback so far.”

 

Crerar Hotels reports turnover boost following strong summer trading, business to ‘form key part of new owners’ plans to build significant luxury portfolio: Scottish hotel operator Crerar Hotels has reported a turnover boost in the year to 25 March 2023 following a strong summer of trading. Crerar Hotels was acquired by Blantyre Capital and its operating partner, Fairtree Hotel Investments, just before the period end, in March 2023. Director Christopher Wayne-Willis said: “This acquisition marked Blantyre and Fairtree’s fourth landmark hospitality purchase within the UK since 2021 and Crerar’s highly regarded portfolio of seven four and five-star hotels will form a key part of the new owners’ plans to build a significant luxury UK hotel portfolio.” Prior to the sale, the former parent company waived a £2m loan including related interest of £70,844. Turnover grew from £14,462,641 in 2022 to £18,984,060 but a pre-tax loss of £495,177 also grew to £2,163,990. The company received no government grants (2022: £494,253). Dividends in specie of £667,353 were paid (2022: nil). Wayne-Willis added: “Strong summer trading was experienced, with particularly notable results following from prior year investment projects such as the Isle of Mull and the Glencoe Inn. While autumn and winter trading saw a gradual move towards prior year booking patterns, strategic decisions saw a larger volume of group business at Oban Bay, which was particularly beneficial to overall group performance. The company continued to focus on increasing accommodation sales. This has seen a 16% increase in bedroom occupancy over the prior year, along with improvements in secondary spends of food and liquor, although food gross profit percent dropped by 1% as a result of increased costs in the supply chain. Liquor gross profit improved by 1%. Overall hotel gross profit fell by 1% but remains consistently higher than pre-covid trading years.” He said the business has increased salaries and benefits and completed extensive redevelopments of the spas at its Loch Fyne and Golf View hotels, “to address traditionally lower demand in the winter”. The company also invested in a hotel formerly known as the Deeside Inn, Ballater, to create a new AA five-star rated inn called the Balmoral Arms.

 

UK’s first brandy distillery launched by Hawkes founder raises more than £2m to fuel global growth plans: The UK’s first brandy distillery, Burnt Faith in London’s Walthamstow, has raised more than £2m to help fuel its global growth plans. The distillery was opened last summer by Simon Wright, founder of BrewDog-owned cider brand Hawkes, master distiller Oliver Kitson and Jean-Dominique Andreu. It was followed in October by the launch of the Brandy House Bar, offering flights of brandy and cocktails with a nip of Burnt Faith brandy. Early investors into Burnt Faith include international PR mogul Matthew Freud and Keith Greggor, the former co-owner and chief executive of Anchor Brewing Co and Anchor Distilling Co. Greggor was the first investor in BrewDog in 2009 and was a non-executive director from 2009 to 2022, during which time BrewDog acquired Wright’s Hawkes brand. Wright said: “I believe the global opportunity within brandy is huge, so I want our ambition and execution to mirror this. We have been ambitious from the get-go by building the Brandy House in London and bringing commercial brandy production to the UK for the first time in more than 200 years. As we begin to establish ourselves, we are turning toward managing our growth needs both nationally and internationally. That will require further investment in aging stock and continuing to innovate within a sleepy category. In shaking up the way the world thinks about brandy, Burnt Faith will go beyond the old conventions, constantly innovating with flavour forward brandies that will go way beyond the current corporate sea of mediocracy. We make our own rules and we’re going to have fun doing so.”

 

Dakota sees turnover boost from improved room sales, high leisure demand and reintroduction of business travel: Five-strong boutique hotel brand Dakota said it saw a turnover boost in the year to 31 March 2023 from improved room sales, high leisure demand and the reintroduction of business travel. The company – which operates hotels in Motherwell, Edinburgh, Glasgow, Leeds and Manchester – reported revenue grew from £32,970,092 in 2022 to £37,166,655. This included £22,471,884 from room sales (2022: £19,422,857), £8,343,107 from food sales (2022: £7,766,769) and £5,753,999 from beverage sales (2022: £5,639,364). Its pre-tax profit more than halved from £4,841,671 to £2,232,688. Adjusted Ebitda was down from £10,033,000 in 2022 to £9,282,000. Rooms available remained at 192,720 with revpar increasing from £100.78 to £116.60. The company received £8,900 in government grants compared with £495,342 in 2022. No dividends were paid (2022: nil). Director Robert Marshall said: “The (turnover) increase was mainly due to improved room sales, sustained high leisure demand and the gradual reintroduction of business travel. Leisure demand was driven by the return of the Edinburgh Festival benefiting all hotels in Scotland, along with The Open golf, and other music concerts and festivals generating demand in all locations. Dakota Manchester continued to establish its reputation in the city with the first full 12 months of continuous trading.” He said an increase in administrative expenses of £5.5m was partially due to the company benefiting from a rent waiver for part of the previous year, and also to the winding down of hospitality business rates support. Post year end, as previously reported, the business received the green light to develop a new hotel in Newcastle, while at its Leeds site, the first-floor bar is being converted into ten additional bedrooms as “demand for upgraded room types currently exceeds the supply”.

 

Deli and café concept Uncommon secure second site: Gourmet deli and cafe operator Uncommon has secured its second site in London. Propel understands that Uncommon, which was founded in 2018 by Mina and Neb Dorontic and Djordje Djerkovic, will open a site at the Triptych mixed-use development in Bankside. The first Uncommon site opened in Northcote Road, Battersea. Savills acted on the Bankside deal on behalf of JTRE London. 

 

Blackpool Pleasure Beach owners refinance and agree new £4m bank loan, attendance down 20% due to economic conditions and industrial action: Blackpool Pleasure Beach’s owners have refinanced and agreed a new £4m bank loan after reporting attendance was down 20% in the year to 26 March 2023 due to economic conditions and industrial action. It said the group’s external bank debt was restructured during the year, with existing NatWest term loans consolidated into a £7m revolving facility, “allowing greater flexibility with regards to pay back and drawdown of facilities”. A £3m (2022: £6m) short term facility with Royal Bank of Scotland was not utilised during the year, while a £1.6m loan from the same bank was paid off in August 2022. Post year end, the group agreed an additional £4m working capital facility with NatWest, which is currently unutilised. It comes after the business reported a significant drop in visitor numbers during the year. Director Amanda Thompson said: “On park attendances were depressed against prior year. War in Ukraine, which brought about high utility and fuel prices and the resultant cost-of-living crisis, has made customers hesitant. Industrial action on the railway lines especially at key weekends further restricts visits to the park and the hotel. The current economic climate has had an adverse effect on our attendance numbers, which have fallen 20% this year. Attendance reduction is compounded by rising costs, the biggest being the impact on wage cost due to the 10% increase in the national minimum wage, which is a major factor in our cost of sales, which have increased from 52% to 63%. Administration costs have also risen by 11% as a result of increased utility costs, which have risen by 34%.” Group turnover fell from £44,648,000 in 2022 to £37,211,000 as its pre-tax profit dropped from £10,556,000 to £287,000. Further analysis shows revenue of £32,646,000 from the park (2022: £39,765,000) and £4,565,000 from the hotel (2022: £4,883,000). Rooms sold increased by 11%, resulting in an overall occupancy of 60% but at a lower overall rate, resulting in a reduced total yield per room of £131 (2022: £156, prior year yield benefited from reduced VAT rates). No government grants were received (2022: £390,000). No final dividend was recommended (2022: nil) with £30,000 of profit transferred to reserves (2022: £8m). 

 

Batemans to mark 150th anniversary with special celebration and collaboration brews: Lincolnshire brewer and retailer George Bateman will mark its 150th anniversary this year with a series of special celebration and collaboration brews. A new 4.2% ABV cask beer called Five Generations, brewed with only English hops, will be released in the coming months, alongside a limited edition 7.8% bottled beer, Tradition with Ambition, which was brewed more than ten years ago and has been maturing since. There will also be a new sparkling wine, 5G Blanquette de Limoux, specially sourced from France to add to the range at Batemans’ wine merchant’s, Ridlingtons. Batemans new brewer, Buster Grant, is recommissioning a Victorian brewhouse that has not been used for more than 20 years for collaboration brews with Blue Monkey and Buxton breweries. There will also be new branding, to be featured on the pump clips of its key brands. Batemans managing director, Stuart Bateman, said: “Brewing is the backbone of our business, and we are looking forward to brewing new beers and collaborating with other breweries. We are exceptionally pleased with all we have achieved over the last 150 years and look forward to celebrating our past, but also in taking this opportunity to shout about our new achievements, from our new and modern branding to our fresh approach, which will set Batemans on a solid footing for another 150 years.” Batemans was founded by George Bateman in Wainfleet, Lincolnshire, in 1874. Stuart and Jaclyn Bateman are the present guardians of its legacy, with Stuart and wife Rachael’s children, Harri and Ed, preparing to carry on the family tradition. It brews 10,000 hectolitres of craft beer per year and operates 52 pubs. During the pandemic it introduced a “survival, revival and development plan”, which has brought to fruition new pub acquisitions and refurbishments, beer development and brewing collaborations.

 

Hotel operator sees profit fall despite closing loss-making hotel ahead of schedule: CQK Group, which now operates two hotels in Surrey, saw its profit fall in the year ending 31 March 2023 despite closing a loss-making Kent hotel ahead of schedule. Hadlow Manor, based in Tonbridge and dating to 1812, ceased trading in January 2023, although the property is still held by the group. It had initially been scheduled to close in September 2023, ahead of plans to convert it into 12 flats and homes, but was this brought forward by eight months. The business said at the time. “Following the impact of both covid-19 and the current cost-of-living crisis, Hadlow Manor has become unviable to continue operating.” According to local press reports at the time, the early closure led to the cancellation of 37 weddings at the venue, while 29 staff members were left without a job earlier than expected. It left the group operating just Hartsfield Manor in Dorking and Reigate Manor Hotel in Reigate. The group’s accounts for the year said Hadlow Manor contributed a loss before tax of £46,485 (2022: profit of £101,169). The freehold property was transferred to its investment properties at a net book value of £1,660,808 (cost £1,806,185 less depreciation of £145,377). The group reported a pre-tax profit of £616,994 for the period, including the £46,485 from discontinued operations. This was down from a restated profit of £979,900 in 2022, including £101,169 from discontinued operations. Turnover of £7,039,783, including £1,301,237 from discontinued operations, was up from £5,168,640 in 2022, including £1,255,568 from discontinued operations. No dividends were paid (2022: nil). Director Geoffrey Goddard said: “In addition to the hotels, the group also owns several investment properties that provide a rental income stream and positively contributes to the cash flow of the business. The hotels continue to trade well and are benefiting from a continuous programme of reinvestment. On the rental side, income has increased since the covid shutdown due to more demand for distribution warehousing.”

 

Knife and Fork Food closes Cardiff pub: Knife and Fork Food, which operates a collection of gastropubs based in Cardiff and the Vale of Glamorgan, has closed its The Conway pub in the Welsh capital. A post on Facebook stated: “We are extremely sad to have to announce the closure of The Conway. The much publicised financial difficulties that have plagued the hospitality industry have finally become too unwieldly to manage. Despite our very best efforts to mitigate them, the challenge is now too great to enable us to continue trading.” The pub in Conway Road was Cardiff’s first entry in the Michelin Pub Guide. Propel revealed in May last year that Knife and Fork Food had put its six pubs up for sale, offering them individually or as a business. One of its other pubs, the Discovery in Lakeside, has been acquired by Croeso Pubs. The other sites put on the market were the Pilot in Penarth, Old Swan Inn in Llantwit Major, the Sully Inn in Sully and Twenty Nine Park Place in Cardiff city centre.

Suffolk hotel, golf course and spa reports turnover boost following change of ownership but profit drops: Ufford Park Hotel Golf & Spa has reported a turnover boost for the year ending 31 March 2023 following a change of ownership but saw its profit drop. The 90-bedroom resort, based in Woodbridge, was sold to the LQ Group in the summer of 2022 by previous owners Colin and Shirley Aldous, who retired after running the resort since 1991. It joined an LQ Group portfolio that also includes Lion Quays Resort in Oswestry and Langstone Quays Resort in Hayling Island. “During the period under review, the company underwent a change of ownership, becoming part of the LQ Group during the first quarter,” director Paula Walker said. “LQ Group brings a wealth of experience in hotel management to Ufford Park allowing for continued staff development with the directors and leadership team having a strong operational involvement. The programme of refurbishment continued with redeveloped driving range facilities, including an interactive, short tracking experience and VIP bays. Together with a new room rate strategy, this contributed to an increase in turnover of £250,000. The significant increase in utility costs and resultant cost-of-living crisis during 2022 had an impact on profit although revenue remained strong with budgets for the year being exceeded.” The company’s turnover grew slightly from £5,141,813 in 2022 to £5,462,403 during the period but its pre-tax profit fell from £533,853 to £137,981. No government grants were received compared with £77,641 in 2022. Post year-end, the land and buildings were independently valued at £8,600,000, and the directors said they will be seeking an updated valuation in 2024.